Their assertion:Which is false based on this email sent to investors (note: redacted to protect privacy.) curious have you ever heard anything further?

I currently use the security deposit replacement and rental damage protection product from Waivo, which I accessed through my Furnished Finder dashboard for my mid-term rental (MTR).

FL seems to have reigned in HOAs recently, so who knows what they are allowed to do.I know that in CA, an HOA can ban smoking in units because smoking is not a protected class and the HOA has an interest in the safety & health of the building. 

Any other ideas on how to ensure our funds are protected? 

Whether you’re dealing with non-payment of rent or other lease violations, this resource explains what landlords need to know to remain compliant and protect their investment. 

Apparently, local jurisdictions here are saying they want more affordable housing, but in the same sentence will also say that there will be more regulations, more environmental protections, and more hoops to jump through to develop starter homes. 

It's comforting knowing that you have some sort of protection there. 

I think hard money lender to take this risk cannot legally charge appropriately which means the law is working against you (the law meant to protect owner occupied owners from unfair loans).I agree with @Jay Hinrichs that your best option likely is to sell on the mls.  

No, you cannot create phantom losses this way.Some additional issues that we have not addressed:- holding rentals inside an S-corp has many tax disadvantages- you will likely jeopardize your $250k/$500k capital gain exclusion for homesteads- you will lose asset protection afforded to personal residences by most states- you will lose your homestead exemption for local property tax - your insurance will have to change from owner-occupied to rental, i.e. go up- and there's moreConclusion: there're reasons why nobody is doing this clever "strategy" but A+ for trying.

(8) no requirements in documents for purchaser to adhere to procedures to protect the seller?